Trump Opens 401(k) Retirement Plans to Bitcoin (BTC) and Other Crypto

U.S. President Donald Trump is allowing Americans to add cryptocurrencies, including meme coins and non-fungible tokens (NFTs), to their 401(k) retirement accounts.

Under direction from the Trump administration, the U.S. Labor Department has rescinded guidance put in place by former President Joe Biden that sought to safeguard 401(k) plans from digital assets such as Bitcoin (BTC) and Dogecoin (DOGE).

President Biden’s government had urged employers to exercise “extreme care” before making crypto available to workers through retirement plans, citing “significant risks of fraud, theft, and loss.” But now, the U.S. Labor Department has withdrawn that guidance in full and opened 401(k) plans up to add a wide range of cryptocurrencies, including highly speculative meme coins.

‘Neutral Approach’

The Labor Department said it is adopting a “neutral approach” to investment types and strategies associated with retirement accounts. Investment groups and retiree advocates were quick to criticize the move, with the Institute for the Fiduciary Standard calling the decision a “big mistake.”

Critics also note the move to open 401(k) retirement plans to crypto comes as President Trump promotes his own $TRUMP meme coin that’s added billions of dollars to his personal net worth. On the election campaign trail last year, Trump promised to make the U.S. the “crypto capital of the world.”

BTC is currently trading at $107,500, having gained 15% this year.

Is BTC a Buy?

Most Wall Street firms don’t offer ratings or price targets on stablecoins, so we’ll look instead at Bitcoin’s three-month performance. As one can see in the chart below, the price of BTC has risen 15.66% in the last 12 weeks.